In house affiliate program, In house affiliate program or use an affiliate network

For running your affiliate program, you have the option of using an in house affiliate program or an affiliate network. There and advantages and disadvantages both.

The advantages of using an affiliate network
Affiliate networks can provide you exposure to lots of affiliates. Affiliate networks already have a base of affiliates that they are working where they can market your affiliate program. They can also add you to their affiliate marketing blogs, affiliate forums like Abestweb, affiliate newsletters, affiliate Facebook groups. Affiliate networks also promote affiliate programs at affiliate events and affiliate marketing conferences like Affiliate Summit and Ad:tech. Affiliate networks also recruit affiliates to promote your campaign.
Affiliate networks are trusted by affiliates as a third party to ensure that they receive their affiliate payments. After all, the affiliate network only gets paid when the affiliates have made sales.
Affiliate networks take care of much of the affiliate tracking and they have an in house team monitoring this to ensure it is always working.

The affiliate network acts as a clearing house and manages all affiliate payments. Making one payment to an affiliate network which then pays out thousands of individual affiliates will take a lot of burden off your affiliate accounts department.

Working with an affiliate network will provide someone with knowledge and expertise to help you setup your program and guide you thought the initial stages.

Advantages of In House programmes
In house affiliate programs can be easily setup with off the shelf affiliate software and have the advantage that they are no affiliate network fees to pay. This can be critical in marketing with very tight margins or on a low budget. Some shopping carts have affiliate marketing software built in.

In house affiliate program, In house affiliate program or use an affiliate network

See
Affiliate Marketing for Merchants
Affiliate Marketing for Merchants
Affiliate Book Affiliate Handbook